The 10 Most Affordable Cities in South Dakota

South Dakota is known for Mount Rushmore, Badlands National Park, and ample geological and paleontological resources. From the Great Plains to the Black Hills, South Dakota is truly a sight to behold. If you’re looking for a change in scenery, “the land of infinite variety” may be for you. To help inform your decision, NewHomeSource has compiled a list of the 10 most affordable cities in South Dakota.

1. Huron

• Home Price to Income Ratio: 1.99
• Average Property Tax: $1,452
• Median Household Income: $46,106

Huron, the county seat of Beadle County, earns the honor of most affordable city in South Dakota. You’ll find attractions like the Dakotaland Museum, Splash Central Waterpark and even the world’s largest pheasant. Huron is also home to the South Dakota State Fair and numerous parks and sports complexes.

2. Yankton

• Home Price to Income Ratio: 2.94
• Average Property Tax: $1,903
• Median Household Income: $50,582

Yankton is located along the Missouri River and South Dakota-Nebraska border. Home to more than 14,000 residents, Yankton serves as the county seat for Yankton County. Residents enjoy relaxing at Riverside Park and heading to the nearby local breweries. 

3. Mitchell

• Home Price to Income Ratio: 3.15
• Average Property Tax: $2,031
• Median Household Income: $46,661

The county seat of Davison County, Mitchell is home to some 15,000 people. Located a little over an hour west of Sioux Falls, Mitchell has several unique museum experiences: the Dakota Discovery Museum, Mitchell Prehistoric Indian Village and the World’s Only Corn Palace, where you can view murals made from corn. Lake Mitchell is located along the city’s northern border, and on warm days you can enjoy camping and boating. 

4. Vermillion

• Home Price to Income Ratio: 3.90
• Average Property Tax: $2,234
• Median Household Income: $40,874

Appropriately named for its position along the Vermillion River, Vermillion is the county seat of Clay County in the southeastern part of the state. Residents can enjoy museums, parks, golf courses and more in this city. Vermillion is also the home of the University of South Dakota, which has an enrollment of nearly 10,000 students.

5. Aberdeen

• Home Price to Income Ratio: 3.07
• Average Property Tax: $2,184
• Median Household Income: $52,651

With more than 28,000 residents calling it home, Aberdeen is the third most populous city in the state. Given its wide array of restaurants, museums, campgrounds and sports fields, you’ll never find yourself bored. Aberdeen places an emphasis on community, and this is perhaps most evident in the city’s community garden, which all residents can utilize. 

6. Watertown

• Home Price to Income Ratio: 3.35
• Average Property Tax: $1,927
• Median Household Income: $50,971

Located along Lake Kampeska and Pelican Lake, Watertown lives up to its name. When you’re not golfing and picnicking at the lakes, check out the local art gallery and county museum or Bramble Park Zoo.

7. Sioux Falls

• Home Price to Income Ratio: 3.17
• Average Property Tax: $2,714
• Median Household Income: $59,912

The most populous city in South Dakota with more than 200,000 residents, Sioux Falls is bursting with life and energy. Residents can take advantage of the natural beauty of Falls Park or visit the local zoo and aquarium. There’s also Great Bear Ski Valley that offers year-round outdoor sports and activities. Or catch a performance at Washington Pavilion or partake in an amusement center like bowling, laser tag or trampolines.

8. Brookings

• Home Price to Income Ratio: 3.36
• Average Property Tax: $2,480
• Median Household Income: $53,863

Brookings is a sizable city of more than 20,000 residents. The presence of South Dakota State University, the state’s largest university, gives the city a youthful, energetic vibe. You’ll also find arts and culture museums on the university’s campus that are open to the public.

9. Pierre

• Home Price to Income Ratio: 2.82
• Average Property Tax: $2,265
• Median Household Income: $62,192

With only some 14,000 residents, Pierre is one of the least-populated capitals in the country, but make no mistake, the city isn’t lacking in character. Enjoy walking the streets along the Missouri River, where you’ll find plenty of restaurants and attractions like a science museum and a National Guard museum, parks and marinas.

10. Rapid City

• Home Price to Income Ratio: 3.53
• Average Property Tax: $2,604
• Median Household Income: $52,351

Rapid City is best known as an entryway to Mount Rushmore. With the Black Hills National Forest to the west and multiple hiking trails within the city itself, Rapid City is surrounded by opportunities to enjoy the great outdoors. For indoor activities, check out the Museum of Geology or the Journey Museum and Learning Center.

Cities With the Best Home Price to Income Ratio

While the list above is sorted by the lowest overall cost of living index, the following cities have the lowest home price to income ratio, meaning you can get more home for your money.

• Huron
• Brandon
• Pierre

Ready to start building your new South Dakota home? Learn more about state-specific down payment assistance and closing costs expectations before you get started.